Starting a Business: 1. Know who you are
When starting a new business it is vitally important to know what your ultimate aims are.
Entrepreneurs tend to fall into five types, depending on their personal psychology and what type of business they want. However, personal satisfaction is often more important to them than growing a major company or brand. You need to sort out the psychology first and stick to it.
A well-known acronym for these five types of startup entrepreneur is SMILE.
S is for System. They are usually happy to buy into a proven idea, such as a successful franchise where everything is provided and the franchisor takes care of advertising and much else as well.
M stands for Money. If cash in the bank is your only goal — and why not — then you should know that this is the measure of your success and avoid all distractions and constantly bear down on costs.
I is for Innovator. New ideas and developments are your prime concern. Make sure you are equipped with the technical skills for the task, or be prepared to hire them.
L is for Lifestyle. Such would-be entrepreneurs often want to exploit their hobby. This can be very successful, but make sure there is a demand for your product.
E is for Empire builders who want to create a brand and spread it widely around.
Bear in mind that you might fall between two, or even more, of these categories. That is not a problem provided you create the right mix of ideas.